Location: Marshall County, IA | Metro: Ames, IA HUD Metro FMR Area
Based on 1% Rule: A+ (≥1.5%) | A (≥1.2%) | B (≥1.0%) | C (≥0.8%) | D (≥0.6%) | F (<0.6%)
| Unit Size | Monthly FMR |
|---|---|
| Studio | $880 |
| 1 Bedroom | $930 |
| 2 Bedrooms | $1,040 |
| 3 Bedrooms | $1,450 |
| 4 Bedrooms | $1,750 |
| 5 Bedrooms | $2,030 |
| 6 Bedrooms | $2,274 |
| 7 Bedrooms | $2,456 |
| 8 Bedrooms | $2,579 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,040 | $192,265 | 0.54% | F |
| 3BR | $1,450 | $264,892 | 0.55% | F |
U.S. Census Bureau data (2024)
The Fair Market Rent (FMR) for ZIP code 50055, Collins, Iowa, in fiscal year 2024 is set at $990. This figure represents the payment standard for Section 8 housing vouchers in the area, which means that if you participate in the program, the Housing Authority will pay up to $990 per month towards your tenant's rent. It's important to note that this does not necessarily reflect the actual rent amount you can charge; it's the maximum subsidy amount.
To put this into perspective, the average rent in Collins, Iowa, based on recent Census American Community Survey (ACS) data, is $823. This indicates that the FMR is slightly higher than the typical market rate, providing a buffer for landlords who might be concerned about covering their costs.
The FMR also suggests there is a reasonable demand for affordable housing in the area. With a 14.2% share of renters in the community, approximately 14 out of every 100 residents are looking for rental properties. This demand is particularly significant for those who qualify for Section 8 assistance, making it a viable option for landlords in Collins.
If you're considering purchasing a property to become a Section 8 landlord, the median home value in Collins, Iowa, is around $266,750. This figure can help you estimate the acquisition cost of a property suitable for renting under the Section 8 program. Keep in mind that this is an average, and individual property values can vary depending on condition, size, and location.
Before deciding to enter the Section 8 market, one critical factor to verify is the property's compliance with Housing Quality Standards (HQS). These standards ensure that the property meets certain safety and habitability requirements. If your property doesn't meet these standards, you'll need to make necessary improvements before it can be approved for the program.
In summary, the FMR of $990 provides a clear benchmark for the subsidy you can receive, while the local average rent of $823 gives you insight into the market conditions. The 14.2% renter share and median home value of $266,750 help frame the potential demand and investment required. Ensuring your property meets HQS standards is the final step to take before fully committing to a Section 8 rental.
Data Sources: FMR data from HUD (2027). Median home prices from Zillow (2026-07-31). Demographics from U.S. Census (2024).
About FMR: Fair Market Rent (FMR) is used to determine payment standards for the Section 8 Housing Choice Voucher program, initial renewal rents for some expiring project-based Section 8 contracts, and rent ceilings for HOME Investment Partnerships.